Brazil’s Chamber of Deputies continues to integrate cryptocurrency into its anti-fraud framework. The Finance and Taxation Committee (CFT) has approved Bill 5819/2025, a legislative proposal that grants judges the authority to freeze crypto wallets and bank accounts, while raising prison terms for electronic fraud to up to 10 years.
Authored by Representative Coronel Chrisostomo and backed by rapporteur Kim Kataguiri, the bill amends both the Penal Code and the Code of Criminal Procedure. It increases the sentencing range for fraud committed via social media, phone, email, or other digital channels from the current 4–8 years to 6–10 years, plus fines. Courts would also be empowered to block access to real estate, prohibit contact with victims, restrict social media use, and suspend digital payment systems. If losses exceed 100 minimum wages or the suspect is a flight risk, preventive detention may be ordered. Organized criminal involvement triggers an additional one-third sentence enhancement.
The move follows a series of aggressive Brazilian enforcement actions, such as Operation Lusocoin in September 2025, which froze assets of 65 individuals and entities linked to laundering over $540 million via crypto and shell companies. Earlier, the “Bitcoin Sheik” case and the Braiscompany Ponzi scheme resulted in lengthy prison terms and asset seizures. Bill 5819/2025 now moves to the Constitution, Justice, and Citizenship Committee (CCJ), after which it must clear votes in the full Chamber and Senate before reaching the president’s desk for signature.
